Portfolio Management Module
The Portfolio Management Module, in combination with other
components in the Optalytic suite, allows users to view
the composition and expected performance of their active
loan portfolio. This module enables a portfolio manager to
view the loan book, on a normalized basis across the
various Peer-to-Peer Marketplaces, and calculate expected
returns based on the models contained within the Loan Pricing Module.
Using the credit and interest rate information on a loan by
loan basis, the portfolio manager can further segment the
entire loan book into sub-portfolios to gain insight into
the performance of particular lending sub-strategies. By
using the sensitivity analysis functionality provided by
the Loan Pricing Module,
users can also view the expected impact of shocks to
delinquency rates, yields curves, and other inputs to
the various pricing models.
The Portfolio Management Module also supports cash-flow
based analysis, which is useful in projecting future cash
inflows from the performing portfolio based upon expected
pre-payment rates, expected interest income, and fee rates.
This information can also be analyzed to produce an
expected tax profile, including estimates of taxable
interest income, servicing fee costs for the Peer-to-Peer
Marketplaces and expected capital losses on non-performing
loans.
Based on the projected income of the loan portfolio, this
module can also estimate Management Company fee income,
based upon parameters which are entered by the portfolio
manager. The module's flexible rules engine allow users to
enter the various provisions from Fund LP agreements
(high-water marks, claw-back provisions, etc) for use in
projecting income based upon the expected returns of the
loan portfolio.
By leveraging the Optalytic Reporting Service, users can
schedule batch reporting jobs or run ad-hoc analyses which
will output to Excel or PDF file formats for off-line
viewing.
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